How To Fix IDFIHU120 - Run foreign currency valuation first for the previous fiscal year

SAP Error Message - Details

• Message type: E = Error

• Message class: IDFIHU - FI Developments for Hungary

• Message number: 120

• Message text: Run foreign currency valuation first for the previous fiscal year

What causes this issue?

You did not run the
<DS:TRAN.FAGL_FCV> Foreign Currency Valuation</> (FAGL_FCV) program for
the previous fiscal year.

System Response

You are not allowed to execute the
<DS:TRAN.RFCASH_HU_AVP>Exchange Rate Calculation for Cash Journal</>
report.

How to fix this error?

Before you execute the <ZK>Exchange Rate Calculation for Cash Journal</>
report on the first working day of the next fiscal year, you must run
the <ZK>Foreign Currency Valuation</> program for the previous year.
On the first day of the next fiscal year, the system is not able to
calculate a weighted average of exchange rate for the currency
translation of outgoing payments with the <ZK>Exchange Rate Calculation
for Cash Journal</> report. Instead, the system applies the exchange
rate with which the foreign currency valuation was executed for the
previous fiscal year.
So that the system can apply the exchange rate of the foreign currency
valuation on the first working day of the fiscal year, you must run the
<ZK>Foreign Currency Valuation</> program first. The valuation program
uses the official exchange rate the Hungarian National Bank (MNB) or any
other bank announces for that day.

Procedure for System Administrators

The system issues an error message and will not allow you to continue with this transaction until the error is resolved.

Error message extract from SAP system. Copyright SAP SE.

Smart SAP Assistant

• What is the cause and solution for SAP error message IDFIHU120 - Run foreign currency valuation first for the previous fiscal year ?

  The SAP error message IDFIHU120 indicates that a foreign currency valuation must be performed for the previous fiscal year before you can proceed with certain financial operations, such as closing the books for the current fiscal year. This error typically arises in the context of financial accounting and controlling modules in SAP, particularly when dealing with foreign currency transactions.
  Cause:
  The error occurs because the system requires that all foreign currency valuations for the previous fiscal year be completed before any further financial activities can be executed. This is a safeguard to ensure that all financial data is accurate and consistent across fiscal periods.
  Solution:
  To resolve this error, you need to perform the following steps:
  
  
  Run Foreign Currency Valuation for the Previous Fiscal Year:
  
  Navigate to the transaction code for foreign currency valuation, typically F.05 or F.07.
  Select the appropriate parameters for the previous fiscal year.
  Execute the valuation process to ensure that all foreign currency amounts are correctly valued and posted.
  
  
  
  Check for Open Items:
  
  Ensure that there are no open items or transactions that need to be addressed for the previous fiscal year. This may include clearing any discrepancies or reconciling accounts.
  
  
  
  Review Configuration Settings:
  
  Verify that the configuration settings for foreign currency valuation are correctly set up in your SAP system. This includes checking the valuation methods and exchange rate types.
  
  
  
  Consult Documentation:
  
  Refer to SAP documentation or help resources for specific instructions related to your version of SAP, as the steps may vary slightly depending on the system configuration.
  
  
  
  Seek Assistance:
  
  If you are unable to resolve the issue, consider reaching out to your SAP support team or consulting with an SAP expert who can provide guidance based on your specific system setup.
  
  
  
  Related Information:
  
  
  Transaction Codes:
  
  F.05: Foreign Currency Valuation
  F.07: Foreign Currency Valuation (for specific accounts)
  
  
  
  Documentation:
  
  SAP Help Portal provides detailed documentation on foreign currency valuation processes and best practices.
  
  
  
  Best Practices:
  
  Regularly perform foreign currency valuations at the end of each fiscal period to avoid backlog and ensure compliance with accounting standards.
  Maintain accurate exchange rates and ensure they are updated in the system to reflect current market conditions.
  
  
  
  By following these steps, you should be able to resolve the IDFIHU120 error and proceed with your financial operations in SAP.